This project aims at automatically controlling the speed of vehicles at speed restricted areas such as schools, hospital zones, traffic signals etc. Nowadays the drivers drive vehicles at high speed even in speed limited areas without considering the safety of the public. The traffic police are not able to control them with full effect. Also it is not practical to monitor these areas throughout. This paper paves way for controlling the speed of the vehicles within certain limit in restricted zones without interruption of the drivers. An RFID is used for this purpose. The RFID reader is attached along with the vehicle and the RFID Tag with these Zones. These tags are programmed to send a coded signal when the reader comes in proximity. Whenever the vehicles enter into these zones their receivers will receive this code and the speed of the vehicles is controlled automatically with the help of the micro controller unit present inside the vehicle. The tags are placed at the beginning and the end of the regions for which the speed should be reduced.